Question 1

In the United States over the past century, real GDP per person has grown by about __________ percent per year.

Accepted Answer

The answer of In the United States over the past...

Question 2

Historical trends in the prices of most natural resources compared to prices of other goods indicate that most natural resources have become scarcer over time.

Accepted Answer

A) True 
 B)False

Question 3

Apple founder Steve Jobs received patents on many of his ideas. While the patents existed, his ideas were

Accepted Answer

A) public goods and proprietary knowledge. 
B) public goods but not proprietary knowledge. 
C) private goods and proprietary knowledge. 
D) private goods but not proprietary knowledge.

Question 4

Some poor countries appear to be falling behind rather than catching up with rich countries. Which of the following could explain the failure of a poor country to catch up?

Accepted Answer

A) The poor country uses a lot of resources to promote free trade policies. 
B) The poor country has a health epidemic such as the Zika virus. 
C) The poor country wasted resources fighting corruption. 
D) The poor country heavily invests in education.

Question 5

Consider the nations of Brazil, Mexico, and Pakistan. Over the past century, which of these three nations has experienced, by far, slower economic growth than the other two nations?

Accepted Answer

The answer of Consider the nations of Brazil, Mexico, and...

Question 6

What is a production function? Write an equation for a typical production function, and explain what each of the terms represents.

Accepted Answer

The answer of What is a production function? Write an...

Question 7

Research suggests that taller workers tend to earn more income than shorter workers. What does this suggest about the relationship between workers' height and their productivity?

Accepted Answer

The answer of Research suggests that taller workers tend to...

Question 8

"When workers acquire tools, they become more productive." This statement reflects the general fact that __________ is a determinant of productivity.

Accepted Answer

The answer of "When workers acquire tools, they become more...

Question 9

Over the past century in the United States, real GDP per person has grown, on average, by about

Accepted Answer

A) 1 percent per year. 
B) 2 percent per year. 
C) 3 percent per year. 
D) 4 percent per year.

Question 10

Over the period 1890-2014, Japan experienced a 2.59 percent average annual growth rate of real GDP per person.

Accepted Answer

A) True 
 B)False

Question 11

Suppose that a new government is elected in Eurnesia. The new government takes steps toward improving the court system and reducing government corruption. The citizens of Eurnesia find these efforts credible and outsiders believe these changes will be effective and long lasting. These changes will probably raise

Accepted Answer

A) real GDP per person and productivity in Eurnesia. 
B) real GDP per person but not productivity in Eurnesia. 
C) productivity but not real GDP per person in Eurnesia. 
D) neither productivity nor real GDP per person in Eurnesia.

Question 12

If a rich country reduced subsidies to domestic producers of goods that poor countries have a comparative advantage producing, the standard of living in these poor countries would likely rise.

Accepted Answer

A) True 
 B)False

Question 13

Suppose an economy experiences an increase in its saving rate. The higher saving rate leads to a higher growth rate of productivity

Accepted Answer

A) more in the short run than in the long run. 
B) more in the long run than in the short run. 
C) in both the short run and the long run. 
D) in neither the short run nor the long run.

Question 14

Which of the following provide benefits to society at large and not just to the person(s) who pursues it?

Accepted Answer

A) Both technological knowledge that is a public good and education 
B) Technological knowledge that is a public good, but not education 
C) Education, but not technological knowledge that is a public good 
D) Neither education, nor technological knowledge that is a public good

Question 15

Some economists argue that it is possible to raise the standard of living by reducing population growth. As an economist interested in incentives rather than coercion, what kind of policy would you recommend to slow population growth?

Accepted Answer

The answer of Some economists argue that it is possible...

Question 16

A policy that increases saving will

Accepted Answer

A) worsen economic growth, but improve health outcomes. 
B) worsen economic growth and health outcomes. 
C) improve economic growth but worsen health outcomes. 
D) improve economic growth and health outcomes.

Question 17

Which of the following is an example of a nonrenewable resource?

Accepted Answer

A) The knowledge possessed by scientists 
B) Livestock 
C) Wood 
D) Profitable business

Question 18

If your company opens and operates a branch in a foreign country, your company engages in foreign direct investment.

Accepted Answer

A) True 
 B)False

Question 19

Productivity can be computed as the number of hours worked divided by output.

Accepted Answer

A) True 
 B)False

Question 20

What word do we use to refer to the amount of goods and services produced for each hour of a worker's time?

Accepted Answer

The answer of What word do we use to refer...

Exam 25: Production and Growth

In the United States over the past century, real GDP per person has grown by about __________ percent per year.

Historical trends in the prices of most natural resources compared to prices of other goods indicate that most natural resources have become scarcer over time.

Apple founder Steve Jobs received patents on many of his ideas. While the patents existed, his ideas were

Some poor countries appear to be falling behind rather than catching up with rich countries. Which of the following could explain the failure of a poor country to catch up?

Consider the nations of Brazil, Mexico, and Pakistan. Over the past century, which of these three nations has experienced, by far, slower economic growth than the other two nations?

What is a production function? Write an equation for a typical production function, and explain what each of the terms represents.

Research suggests that taller workers tend to earn more income than shorter workers. What does this suggest about the relationship between workers' height and their productivity?

"When workers acquire tools, they become more productive." This statement reflects the general fact that __________ is a determinant of productivity.

Over the past century in the United States, real GDP per person has grown, on average, by about

Over the period 1890-2014, Japan experienced a 2.59 percent average annual growth rate of real GDP per person.

If a rich country reduced subsidies to domestic producers of goods that poor countries have a comparative advantage producing, the standard of living in these poor countries would likely rise.

Suppose an economy experiences an increase in its saving rate. The higher saving rate leads to a higher growth rate of productivity

Which of the following provide benefits to society at large and not just to the person(s) who pursues it?

Some economists argue that it is possible to raise the standard of living by reducing population growth. As an economist interested in incentives rather than coercion, what kind of policy would you recommend to slow population growth?

A policy that increases saving will

Which of the following is an example of a nonrenewable resource?

If your company opens and operates a branch in a foreign country, your company engages in foreign direct investment.

Productivity can be computed as the number of hours worked divided by output.

What word do we use to refer to the amount of goods and services produced for each hour of a worker's time?